Secure mobile-based financial transactions

ABSTRACT

Devices, systems and methods are disclosed which relate to securing payments from a mobile communications device. In exemplary embodiments, a mobile communications device communicates with a payment server via a point-of-sale device to conduct a transaction. The mobile communications device uses a client payment logic to send payment information to the point-of-sale device. The point-of-sale device uses a vendor payment logic to forward the payment information to the payment server. The payment server verifies the payment information and sends confirmation to the point-of-sale device.

This application is a continuation of U.S. patent application Ser. No. 12/606,243, filed Oct. 27, 2009, now U.S. Pat. No. 8,374,916, the content of which is hereby incorporated by reference herein in its entirety into this disclosure.

BACKGROUND OF THE INVENTION

1. Field of the Invention

The present invention relates to communications devices. More specifically, the present invention relates to secure financial transactions on mobile communications devices.

2. Background of the Invention

Wireless communications devices, such as cellular telephones, have become tremendously popular. It is estimated that there were 3.3 billion cellular phone subscriptions at the end of 2007. Close to 80% of the world now enjoys cellular coverage, a figure only increasing as new networks appear. Along with the abundance of cellular telephones comes the demand for new and improved services. It is no longer enough to just place and receive calls, users want it all.

With the pervasive use of mobile devices, these devices are being used in all aspects of life. Not only are mobile devices used for placing telephone calls, they have become mobile computers. However, as the number of devices and their uses has increased, so has the amount of personal information stored on the devices. Mobile devices may contain files such as personal contacts, messages, documents, and even financial information.

The dominant form of electronic payment today is a magnetic stripe credit card. With these types of cards, the purchaser or the merchant swipes the magnetic stripe through a reader. The magnetic stripe contains account information and other pieces of security code and identification that is captured in the swiping process. This information is sent through the merchant's point-of-sale systems through terrestrial networks. Depending on what type of payment product is used, the information may go through a VISA router, MASTERCARD router, etc., until it ultimately ends up at a payment processor that represents the bank that issued the payment product. The payment processor runs logic behind the scenes to validate that the credit card is an authorized card and that there is either sufficient money in the bank account or a sufficient credit line to support that transaction. The payment processor then returns an authorization code back through the terrestrial networks to the merchant systems to either approve or decline the transaction.

Electronic payments are slowly migrating from the magnetic stripe to a contactless or near-field-communication (NFC) transaction. Contactless transacting is likely to be the dominant form for mobile payments in the future. However, the availability of personal and financial information on mobile devices makes these devices a target for criminals. Hacking this information may allow a criminal to make purchases and charge them to the customer of the hacked device.

With this possibility, many mobile device owners may be afraid to use their device to its fullest capabilities. Merchants may be afraid to accept transactions for fear that they may not be legitimate. What is needed is a way to make purchases from a mobile device without risking the loss of financial information.

SUMMARY OF THE INVENTION

The present invention provides for systems and methods for securing payments from a mobile communications device. In exemplary embodiments, a mobile communications device communicates with a payment server via a point-of-sale device to conduct a transaction. The mobile communications device uses a client payment logic to send payment information to the point-of-sale device. The point-of-sale device uses a vendor payment logic to forward the payment information to the payment server. The payment server verifies the payment information and sends confirmation to the point-of-sale device.

A one-time digital key limits a hacker to a single transaction. This one-time digital key is sent to the mobile communications device and is required to complete a transaction. The one-time digital key is replaced with a new digital key after each transaction. Furthermore, the payment server gives customers an option to set a payment cap for a single transaction. Therefore a customer can control the full potential for theft. A customer using embodiments of the present invention can also conduct a transaction outside of network coverage by using near field communication (NFC) to communicate with the point-of-sale device. The point-of-sale device acts as an intermediary for the mobile communications device to communicate with the payment server through the point-of-sale device's connection. In other embodiments a customer uses their home computer connected through a web portal to conduct a secure transaction.

In one exemplary embodiment, the present invention is a system for securely processing transactions. The system includes a mobile communications device having a client payment logic, a point-of-sale device in communication with the mobile communications device, the point-of-sale device having a vendor payment logic, and a payment server in communication with the mobile communications device through a first connection and the point-of-sale device through a second connection, the payment server having a server payment logic. The server payment logic sends a one-time digital key to the mobile communications device, receives a payment number and an amount from the point-of-sale device, and deducts the amount from an account associated with the mobile communications device.

In another exemplary embodiment, the present invention is a method of securely processing a payment. The method includes sending a one-time digital key to a mobile communications device, receiving a payment number, an ID number, and an amount, and deducting the amount from an account associated with the mobile communications device. The mobile communications device receives the one-time digital key and generates the payment number.

In yet another exemplary embodiment, the present invention is a method of securely processing a payment. The method includes receiving a one-time digital key from a payment server, generating a payment number from the one-time digital key, and sending a payment number, an ID number, and an amount, to a payment server. The payment server deducts the amount from an account associated with the mobile communications device.

BRIEF DESCRIPTION OF THE DRAWINGS

FIG. 1 shows a system for securing payment from a mobile communications device, according to an exemplary embodiment of the present invention.

FIGS. 2A and 2B show a point-of-sale device, according to an exemplary embodiment of the present invention.

FIGS. 3A and 3B show a mobile communications device for secure payments, according to an exemplary embodiment of the present invention.

FIG. 4 shows an action diagram of a method of secure payment by a mobile device, according to an exemplary embodiment of the present invention.

FIG. 5 shows a method of making a secure payment from a mobile communications device that exceeds a payment cap, according to an exemplary embodiment of the present invention.

FIG. 6 shows a screenshot of a mobile wallet application on a mobile communications device, according to an exemplary embodiment of the present invention.

DETAILED DESCRIPTION OF THE INVENTION

The present invention provides for systems and methods for securing payments from a mobile communications device. In exemplary embodiments, a mobile communications device communicates with a payment server via a point-of-sale device to conduct a transaction. The mobile communications device uses a client payment logic to send payment information to the point-of-sale device. The point-of-sale device uses a vendor payment logic to forward the payment information to the payment server. The payment server verifies the payment information and sends confirmation to the point-of-sale device.

The approach combines a unique one-time digital key with a number generator algorithm to make a payment from a mobile wallet on a mobile communications device. The one-time digital key, in the form of a multi-digit number, is effectively multiplied by the number generator algorithm to create a payment number, which is sent to a payment server along with a payment request and an amount. The payment server receives the payment request with the payment number and the amount. The payment server includes an identical number generator algorithm. Thus, the payment server can separate the one-time digital key from the generated number. The payment server confirms the generated number and one-time digital key are correctly associated with the customer and allows a payment to proceed to a vendor. When a payment proceeds with the one-time digital key, the payment server automatically sends the next digital key to the mobile communications device to be stored there until the next transaction is processed.

In embodiments of the present invention, single transactions may be capped to prevent the customer from being charged massive amounts if the mobile communications device is hacked and the one-time digital key and algorithm are stolen. This cap may be set by the customer or be a default value. Amounts in excess of the capped value may require a confirmation by the customer, such as by a telephone call, text message, instant message, etc.

In embodiments of the present invention, a mobile communications device can make a payment and receive a new one-time digital key even when not connected to a cellular network. A point-of-sale device with near field communications capabilities, such as BLUETOOTH, may transfer a new one-time digital key to the customer's mobile communications device in an encrypted message. The encryption may ensure that only the correct authorized mobile communications device is able to access the new one-time digital key. By leveraging this approach, if someone where able to hack the mobile communications device, the hacker would at most be able to process one transaction before the generated numbers would be out of sequence from those expected by the payment server. Further, since the new one-time digital key is sent automatically, behind the scenes each time a legitimate transaction is processed, the new one-time digital key is stored on the mobile communications device in advance of the next need, thereby eliminating the “out of coverage” dilemma. For customers having more security, some exemplary embodiments send more than one one-time digital key from the payment server at once. All of these one-time digital keys may be necessary to process a transaction.

“Mobile communications device,” as used herein and throughout this disclosure, refers to any portable device capable of sending and receiving information through a wireless network. Examples of a mobile communications device include cellular telephones, smart phones, notebook computers, tablet computers, personal digital assistants (PDAs), etc.

“Point-of-sale device”, as used herein and throughout this disclosure, refers to any device capable of conducting a transaction including communicating with a network. Examples of a point-of-sale device include an electronic cash register, a kiosk, a computer conducting a transaction through a web portal, etc.

“Logic”, as used herein and throughout this disclosure, refers to any information having the form of instruction signals and/or data that may be applied to affect the operation of a processor. Examples of processors are computer processors (processing units), microprocessors, digital signal processors, controllers and microcontrollers, etc. Logic may be formed from signals stored in a device memory. Software is one example of such logic. Examples of device memories that may comprise logic include RAM (random access memory), flash memories, ROMS (read-only memories), EPROMS (erasable programmable read-only memories), and EEPROMS (electrically erasable programmable read-only memories). Logic may also be comprised by digital and/or analog hardware circuits, for example, hardware circuits comprising logical AND, OR, XOR, NAND, NOR, and other logical operations. Logic may be formed from combinations of software and hardware.

For the following description, it can be assumed that most correspondingly labeled structures across the figures (e.g., 132 and 232, etc.) possess the same characteristics and are subject to the same structure and function. If there is a difference between correspondingly labeled elements that is not pointed out, and this difference results in a non-corresponding structure or function of an element for a particular embodiment, then that conflicting description given for that particular embodiment shall govern.

FIG. 1 shows a system for securing payment from a mobile communications device 100, according to an exemplary embodiment of the present invention. In this embodiment, the system includes mobile communications device 100, a point-of-sale device 120, a network 144, a payment server 140, and a cellular tower 146. Mobile communications device 100 includes a client payment logic 118 which, among other functions, generates a random number according to an algorithm. Client payment logic 118 also combines the random number with a one-time digital key. The combining may include multiplying the numbers, appending one number to the other, mixing the numbers, adding the numbers, subtracting the numbers, etc. Mobile communications device 100 receives the one-time digital key from payment server 140 through network 144. Mobile communications device 100 may communicate wirelessly with point-of-sale device 120 or may communicate in a wired fashion through a port. Mobile communications device 100 may also communicate wirelessly with payment server 140 over network 144 through cellular tower 146. Point-of-sale device 120 may be an electronic cash register, a mall kiosk, etc. Point-of-sale device 120 totals an amount for a sale of goods or services for a customer to purchase. Point-of-sale device 120 contains a vendor payment logic 136 which contains instructions for sales, transmission, etc. Vendor payment logic 136 may also include instructions for sending mobile communications device 100 a new one-time digital key when mobile communications device 100, for instance, is not connected to a cellular network. Point-of-sale device 120 communicates this amount to mobile communications device 100 either directly or through payment server 140. Mobile communications device 100 receives this amount and communicates a payment number and the amount to payment server 140. This payment number is a combination of the one-time digital key and the random number. Payment server 140 receives the payment number and the amount from mobile communications device 100. In alternate embodiments the payment number is routed through network 144 or through point-of-sale device 120. Payment server 140 contains a server payment logic 142. Server payment logic 142 includes a random number generating algorithm that is identical to that included in client payment logic 118 of mobile communications device 100. Server payment logic 142 disassembles the payment number into its components, the one-time digital key and random number, and verifies that each of these is correct. Payment server 140 knows the one-time digital key in use and has the same random number from the random number generator as well as the method in which the two were combined. Thus, payment logic 142 is able to disassemble the payment number and verify the two numbers or codes. If the numbers or codes match, payment server 140 deducts the amount from an account associated with mobile communications device 100, and sends a confirmation to point-of-sale device 120.

FIGS. 2A and 2B show a point-of-sale device 220, according to an exemplary embodiment of the present invention. In this embodiment, point-of-sale device 220 is similar to a cash register, including an antenna 222, a display 224, a keypad 226, a transceiver 230, a central processing unit (CPU) 232, and a memory 234. Antenna 222 amplifies signals to and from transceiver 230, allowing point-of-sale device 220 to communicate with a mobile communications device, a server, a network, etc. Transceiver 230 may communicate using wireless signals, such as cellular radio frequency (RF) signals, WiFi, BLUETOOTH, infrared (IR), etc. Keypad 226 allows a vendor to input items purchased by a customer. Keypad 226 may also allow vendor to input a location of the mobile communications device making a payment, etc. CPU 232 commands components of point-of-sale device 220 including instructions from a vendor payment logic 236 on memory 234. Vendor payment logic 236 includes instructions for sales, transmissions, etc.

In alternate embodiments the point-of-sale device is a kiosk. A customer may input items or services to be purchased into the kiosk. The kiosk may be at a mall or other public venue. The kiosk communicates with the mobile communications device to receive a payment number. The kiosk forwards the payment number along with an amount reflecting the total of input items and/or services to the payment server. In some embodiments a user's home computer may function as a point-of-sale device. In these exemplary embodiments a computer conducts a transaction through a web portal or other network connection. The computer communicates with the mobile communications device to receive a payment number. The computer forwards the payment number through the web portal, where the payment number is joined with the amount, to the payment server.

FIGS. 3A and 3B show a mobile communications device 300 for secure payments, according to an exemplary embodiment of the present invention. In this embodiment, mobile communications device 300 includes an antenna 302, a display 304, a keypad 306, a microphone 308, a memory 316, a power supply 312, a central processing unit (CPU) 314, and a transceiver 310. Display 304 is an LCD or LED screen on which a customer can view payment instructions, payment amounts, selections, numbers, letters, etc. Antenna 302 is a transducer designed to transmit or receive electromagnetic waves. Microphone 308 allows the customer to verbally communicate with others using mobile communications device 300. Keypad 306 allows the customer to enter letters, numbers, and symbols in order to send payments, dial telephone numbers, create text messages or e-mails, etc. Transceiver 310 allows mobile communications device 300 to wirelessly communicate with a payment server, a point-of-sale device, a network, other wireless devices, etc. This communication may be through cellular radio frequency (RF) signals, WiFi, BLUETOOTH, infrared (IR), etc. Power supply 312 provides power to each of the components of mobile communications device 300. CPU 314 commands components of mobile communications device 300 according to a client payment logic 318 on memory 316. Memory 316 stores logic, data, digital keys, etc. Client payment logic 318 includes a random number generating algorithm, instructions for combining a random number with a one-time digital key, instructions for transmission, etc.

FIG. 4 shows an action diagram of a method of secure payment by a mobile device 400, according to an exemplary embodiment of the present invention. In this exemplary embodiment, a payment server 440 issues a one-time digital key S450 to mobile communications device 400. The one-time digital key is stored on mobile communications device 400 until it is used, until it is replaced by a new one-time digital key, for a period of time, etc. Mobile communications device 400 uses the one-time digital key to submit a payment S451 to a point-of-sale (POS) device 420, the payment including a payment number and an amount. The payment may be submitted through a wired or wireless connection. POS device 420 submits payment instructions S452 to payment server 440, the payment instructions including the payment number and the amount. Payment server 440 verifies the payment number and confirms the payment S453 to POS device 420. Payment server deducts the amount from an account associated with mobile communications device 400. POS device 420 then sends an acknowledgement of the payment S454 to mobile device 400. With the payment completed, payment server 440 issues a new one-time digital key S455 to mobile device 400.

In further embodiments, the payment server sends a confirmation of the transaction to the mobile communications device. In some embodiments the customer has set a payment cap on a single transaction. When an amount sent along with a payment number exceeds the payment cap, authorization is required from the customer. A verification is sent to the mobile communications device in the form of a telephone call, text message, etc. In any case, the customer inputs authorization if the customer recognizes the transaction and the payment server completes the transaction. If the customer does not recognize the transaction, the customer denies the transaction and may be permitted to take further action to investigate the transaction.

FIG. 5 shows a method of making a secure payment from a mobile communications device that exceeds a payment cap, according to an exemplary embodiment of the present invention. In this embodiment, the mobile communications device receives a one-time digital key S560. The one-time digital key may be sent by a point-of-sale (POS) device, by a payment server, etc. The mobile communications device uses the one-time digital key and a random number from a random number generator algorithm to generate a payment number S561. The mobile communications device then sends the payment number to the POS device S562. Since the amount exceeds the payment cap, the mobile communications device receives a verification S563. The verification may be a personal telephone call from an agent or some other form of verification. If the customer recognizes the transaction, the customer commands the mobile communications device to verify the transaction S564. If the customer does not recognize the transaction then the customer commands the mobile communications device to cancel the transaction S565. If the transaction is verified, then the mobile communications device receives a confirmation that the payment is accepted S566. This confirmation may come from the POS device, the payment server, etc. In either case, a new one-time digital key is then received by the mobile communications device for use with the next transaction S560.

FIG. 6 shows a screenshot of a mobile wallet application 670 on a mobile communications device 600, according to an exemplary embodiment of the present invention. In this embodiment, mobile wallet application 670 includes a payment settings feature. An account menu 672 allows a customer to select an account to make payments from. The secure payment application allows the customer to cap transactions using a payment cap field 674. Payment cap field 674 allows the customer to check whether the customer wants transactions capped. If the customer chooses to cap transactions, then the customer enters a cap amount in payment cap field 674. The customer then selects OK button 676 to confirm the settings or BACK button 678 to cancel the settings shown and revert to the previously saved settings. A keypad 606 on mobile communications device 600 along with a display 604 of mobile communications device 600 allows the customer to select and view options on the secure payment application.

Other exemplary embodiments include many more features in the mobile wallet application such as connection settings, encryption type, server settings, etc. Other features of the mobile wallet are disclosed in co-pending U.S. patent application Ser. No. 11/727,493, which is hereby incorporated by reference herein in its entirety.

The foregoing disclosure of the exemplary embodiments of the present invention has been presented for purposes of illustration and description. It is not intended to be exhaustive or to limit the invention to the precise forms disclosed. Many variations and modifications of the embodiments described herein will be apparent to one of ordinary skill in the art in light of the above disclosure. The scope of the invention is to be defined only by the claims appended hereto, and by their equivalents.

Further, in describing representative embodiments of the present invention, the specification may have presented the method and/or process of the present invention as a particular sequence of steps. However, to the extent that the method or process does not rely on the particular order of steps set forth herein, the method or process should not be limited to the particular sequence of steps described. As one of ordinary skill in the art would appreciate, other sequences of steps may be possible. Therefore, the particular order of the steps set forth in the specification should not be construed as limitations on the claims. In addition, the claims directed to the method and/or process of the present invention should not be limited to the performance of their steps in the order written, and one skilled in the art can readily appreciate that the sequences may be varied and still remain within the spirit and scope of the present invention. 

What is claimed is:
 1. A system, comprising: a mobile communications device having an associated account and a client payment logic, wherein the client payment logic generates a payment number by combining a one-time digital key with a random number generated by the client payment logic and sends the payment number to a point-of-sale device; the point-of-sale device in communication with the mobile communications device, the point-of-sale device having a vendor payment logic, wherein the vendor payment logic sends the one-time digital key to the mobile communications device via a wireless communication upon determination that the mobile communications device is not connected to a payment server; and the payment server in communication with the mobile communications device through a cellular network and in communication with the point-of-sale device through a second network, the payment server having a server payment logic, wherein the server payment logic sends the one-time digital key to the mobile communications device upon determination that the mobile communications device is connected to the payment server via the cellular network, receives the payment number and an amount from the point-of-sale device, disassembles the payment number into the one-time digital key and the random number, verifies the one-time digital key, generates an identical random number using an identical random number generator algorithm, compares the random number as disassembled with the identical random number, and deducts the amount from the associated account when the random number as disassembled and the identical random number match.
 2. The system of claim 1, wherein the client payment logic sends the payment number and the amount to the point-of-sale device upon generating the payment number after receiving the one-time digital key.
 3. The system of claim 1, wherein the mobile communications device is one of a cellular telephone, a notebook computer, and a personal digital assistant.
 4. The system of claim 1, wherein the point-of-sale device is one of a cash register and a kiosk.
 5. The system of claim 1, wherein the server payment logic sends a confirmation to the point-of sale device when the amount is deducted.
 6. The system of claim 1, wherein the point-of-sale device communicates with the payment server to receive the one-time digital key.
 7. A method, comprising: sending a one-time digital key to a mobile communications device, wherein sending the one-time digital key to the mobile communications device is accomplished via a cellular network from a payment server and via a wireless communication from a point-of-sale device upon determination that a connection between the mobile communications device and the payment server is not available; generating a payment number on the mobile communications device by combining the one-time digital key with a random number generated by the mobile communications device; receiving, at the payment server, the payment number and an amount sent to the point-of-sale device from the mobile communication device; disassembling the payment number into the one-time digital key and the random number; verifying the one-time digital key and the random number, wherein verifying the random number is accomplished by the payment server generating an identical random number using an identical algorithm to an algorithm used to generate the random number on the mobile communications device and comparing the random number and the identical random number; and deducting the amount from an account associated with the mobile communications device upon verification.
 8. The method of claim 7, further comprising sending a confirmation corresponding to deducting the amount from the account.
 9. The method of claim 7, wherein the point-of-sale device is one of a cash register and a kiosk.
 10. The method of claim 7, wherein the mobile communications device is one of a cellular telephone, a notebook computer, and a personal digital assistant.
 11. The method of claim 7, further comprising sending the payment number and the amount to the point-of-sales device upon generating the payment number after receiving the one-time digital key.
 12. The method of claim 7, further comprising comparing the amount to a payment cap.
 13. The method of claim 12, wherein the amount must be verified by the mobile communications device.
 14. A method, comprising: receiving a one-time digital key, at a mobile communications device, from a point-of-sale device upon determining that the mobile communications device is not connected to a payment server via a cellular network; sending a payment number and an amount to the point-of-sale device from the mobile communications device, the payment number generated by combining the one-time digital key with a random number generated by the mobile communications device; sending the payment number and the amount from the point-of-sale device to the payment server; and deducting the amount from an account associated with the mobile communications device; wherein the payment server verifies the random number and the one-time digital key by generating an identical random number using an identical algorithm to an algorithm used to generate the random number on the mobile communications device and comparing the identical random number and the random number.
 15. The method of claim 14, further comprising receiving a confirmation corresponding to deducting the amount from the account.
 16. The method of claim 14, wherein the point-of-sale device is one of a cash register and a kiosk.
 17. The method of claim 14, wherein the mobile communications device is one of a cellular telephone, a notebook computer, and a personal digital assistant.
 18. The method of claim 14, further comprising comparing the amount to a payment cap.
 19. The method of claim 18, wherein the amount must be verified by the mobile communications device. 